How do I fuse multiple business cultures into one cohesive culture?

In brief: (1) Take steps to build a group identity that everyone can rally behind. (2) Instill respect for cultural differences and norms, and provide opportunities for employees to learn from one another. (3) Encourage consistent communication and feedback between yourself and every worker.?

Whether it is due to geographical differences or a merger between two businesses, the task of fusing multiple company cultures into one can be daunting for HR leaders. Here’s how HR professionals can begin to build those bridges.?

Unify the group under one identity

Conduct an analysis: When it comes to merging different business cultures, context matters. Taking time to research each entity separately and understand what makes them who they are —?their values, work styles and engagement levels —?can show you which areas may already be compatible.?

“It's very useful to take a step back and do a kind of ‘anthropological analysis’ of the merging entities and their cultures.[...] You will want to look at both hard data (workforce demographics, turnover and performance, compensation strategies, culture/engagement surveys) as well as experiential/observational data (what's the communication plan, how are leaders ‘walking the talk,’ what behaviors or results are being rewarded or prioritized, what are leaders on both sides" of the change saying.”

— Nathan Deily is the chief people officer at venture capital group nth venture

Emphasize a common purpose: When it comes to merging teams, one of the most difficult obstacles that leaders can face is how to shape a collective identity. Leaders should instill a “we are different yet one” mentality amongst the teams they oversee, experts say. Remind team members that they are all serving a common purpose —?this might mean using weekly conference calls to connect group projects back to your company’s objectives, or arranging brainstorm sessions to strategize how to surpass the competition. Consider constructing a new company-wide mission, vision and values that every employee can identify with and support.?

“Committed leadership, across various levels, that rally around company mission, values, and culture, is fundamental. [...] It is important to figure out earlier on the elements of the culture and best practices that must be protected and preserved and the aspects critical for the bottom line.”

— Rosana El Sayed is a founding member of HR consulting firm Hacking HR

??In real life: The Amazon-Whole Foods merger in 2017 highlighted key cultural differences between the two entities. Amazon’s efficiency-driven metrics proved intense and difficult for Whole Foods employees to adjust to, leading to low levels of employee morale. Moreover, employees were never properly informed on new technology and systems that resulted from the merger, leading to mass confusion and disorganization throughout retail stores.?

Create opportunities for respect and learning

Leaders need to be mindful of cultural differences among different teams. For a globally dispersed workforce, this means understanding how work styles can differ between countries, and being sensitive to time differences and national holidays. And community building and creating alliances is key to fostering an inclusive work environment. Although it may seem like a small change, allowing time for informal chatter at the start and end of meetings can allow employees to connect. And in today’s technology-driven world, don’t shy away from using digital tools to host group events, such as a monthly “get to know you” meeting where employees can share more about themselves and their lifestyles.?

“We are living in the age of data and staying connected to the pulse of the organization and underlying sentiments present us with a terrific opportunity to learn and iterate fast. In addition, digital transformation and the variety of communication and engagement tools available have helped break walls and bridge distances created by geographies and work requirements.”

— Rosana El Sayed

Make conversations frequent and flowing

Especially during times of change, it is imperative that leaders provide channels for frequent and honest conversations. Some employees, especially those who come from cultural norms that don’t encourage speaking up, may not voice their opinions voluntarily during a conference call. Make yourself available for one-on-one conversations and emphasize that negative feedback is welcome. And rely on other team leaders, especially those who are well-respected and well-liked, to gain insight into?

“Developing and maintaining a (One-Company-Culture) is challenging. The key is consistency and changing the business direction as cultural factors are identified. It is a process that must be worked on daily and constantly assessed. Frequent employee conversations and asking for honest feedback and suggestions will assist with this.”

— Shelley Walker is the director of human resources at public utility company Greenwood Utilities

Explore more

• Organizational culture in mergers: Addressing the unseen forces by Oliver Engert, Kameron Kordestani, Becky Kaetzler and Andy MacLean for McKinsey & Company
• How Can Leaders Promote A Cohesive Culture Among Globally Dispersed Teams? by Sally Percy for Forbes
• In the era of the global workplace and dispersed teams, how can managers promote a cohesive culture? by Rebecca Knight for UVA Darden School of Business

Meet the experts

Nathan Deily is the chief people officer at venture capital group nth venture. He holds over 22 years of HR experience at companies such as Raytheon, Microsoft and LivePerson. He earned his MBA from the W.P. Carey School of Business at Arizona State University.?

Rosana El Sayed is a founding member of HR consulting firm Hacking HR. Previously, she was director at American Express, managing performance for multiple teams across the globe. She holds over 13 years of HR experience and earned her MBA from MIT Sloan School of Management.?

Shelley Walker is the director of human resources at public utility company Greenwood Utilities. She holds over 14 years of experience in human resources and operations.?